Vietnam seeks more Korean investment in high-tech electronics, semiconductors, renewable energy

Vietnam encourages businesses from South Korea to make new investments or expand in the country, especially in infrastructure, high-tech electronics, semiconductors, renewable energy, and smart city projects, said Deputy Prime Minister Bui Thanh Son.

Son, also Minister of Foreign Affairs, made the statement at his talk with South Korean Foreign Minister Cho Tae-yul in Hanoi on Tuesday.

The meeting took place as part of Cho’s ongoing official visit to Vietnam, where he also attends the fourth Partnership for Green Growth and the Global Goals 2030 (P4G) Summit, from April 15-17. This marks his first official visit to Vietnam in his capacity as South Korea's Foreign Minister.

The minister stressed that Vietnam is a key partner in South Korea’s foreign policy in the region.

The two officials consented to continue working toward the goal of raising bilateral trade to $150 billion by 2030, in a balanced and sustainable manner, while facilitating greater market access for each other’s goods.

They concurred to further strengthen collaboration in science and technology, labor, healthcare, culture, education, and people-to-people exchange.

Statistics from the Vietnamese Ministry of Industry and Trade show that bilateral trade turnover reached approximately $81.5 billion in 2024, up 7.3% year-on-year.

Son called on South Korea to further raise the quota and broaden sectors that accept Vietnamese workers, while fostering cooperation in digital transformation, research and development, and human resource training for Vietnam.

He also suggested simplifying visa procedures for Vietnamese citizens traveling to South Korea.

In response, Cho said he would coordinate with relevant Korean ministries to advance cooperation in the areas proposed by Son.

Vietnam hosts major technology giants from South Korea, including Samsung and LG.

Samsung Electronics had invested $23.2 billion in Vietnam by mid February this year, making it the largest foreign investor in the country. The number of Vietnamese vendors in Samsung Vietnam ecosystem had reached 306 then.

Samsung’s latest investment in Vietnam was SDV pouring $1.2 billion in making displays in Bac Ninh province, northern Vietnam. In 2024, Samsung Vietnam earned a revenue of $62.5 billion, including an export income of $54.4 billion.

Chaebol LG’s key plants in Vietnam, namely LG Innotek Vietnam Hai Phong, LG Electronics Vietnam Hai Phong, and LG Display Vietnam Hai Phong, recorded a total revenue of KRW14,987 billion ($10.3 billion) in 2024, up 9.63% year-on-year.

The 14th session of the Vietnam-South Korea Joint Committee on Trade, Industry, and Energy Cooperation was held in Hanoi on Monday.

At the meeting, Vietnamese Minister of Industry and Trade Nguyen Hong Dien and South Korean Minister of Trade, Industry, and Energy Ahn Dukgeun agreed to assign technical teams to closely collaborate, ensuring the effective operation of the Vietnam-South Korea Center for Technology Cooperation on Critical Mineral Supply Chains, based on the MoU signed in June 2023.

The two sides also agreed on activities to strengthen cooperation in some spheres, such as raw materials and intermediate and long-term components through the operation of the second phase of the Vietnam Technology Advice and Solutions from Korea Center (VITASK 2).

Other collaboration fields include human resource training, particularly training for the shipbuilding industry in Vietnam, given South Korea's labor shortage in this sector.

The two countries will also work together to address challenges in automobiles, tobacco, and machinery industries, among other realms.

In the energy sector, the two ministers reached a consensus on cooperation in areas such as electricity, oil and gas, clean energy, and nuclear power.

Vietnam welcomed the participation and investment expansion of Korean companies in LNG, oil and gas projects.

The Vietnamese side lauded the progress of ammonia co-firing technology trials in South Korea and urged the country to closely collaborate with Vietnamese partners to research and deploy this technology in Vietnam.

Earlier, the South Korean Ministry for Trade, Industry and Energy suggested that Vietnam and South Korea should boost their nuclear energy cooperation by resuming the bilateral director general-level nuclear industry dialogue channel as one of the ways, while receiving Dien in Seoul in February.

The South Korean side clarified that resuming the dialogue, which has been on hiatus since 2017, can help consultations on more concrete collaboration measures.

Last Friday, Vietnam Electricity (EVN) chairman Dang Hoang An and Korea Electric Power Corporation's (Kepco) president and CEO Kim Dong Cheol discussed nuclear power development in a meeting in Hanoi.

They also talked about the application of smart technology in the electricity sector, according to an EVN post on its website.

At the dialogue, EVN and Kepco leaders expressed their desire to strengthen cooperation to improve operational efficiency and develop future power projects.